New York, January 28, 2026, 11:52 EST — Regular session
- Seagate Technology Holdings (STX) jumped roughly 21% in late morning trading, climbing to a new peak close to $449
- The hard-drive manufacturer beat quarterly estimates and issued guidance that surpassed Wall Street expectations
- Storage peers climbed, reacting ahead of the Fed’s decision due Wednesday
Seagate Technology Holdings plc shares surged roughly 21%, hitting $448.79 in late morning trading Wednesday. The data-storage giant outperformed quarterly forecasts and projected revenue and profit for the current quarter that topped Wall Street’s predictions.
The rally is significant since Seagate’s nearline hard disk drives are a key component in large data centers. Investors often view the company’s order flow as a rough barometer for how much the AI expansion is straining hardware budgets.
Seagate’s jump helped power a chip-fueled rally that pushed U.S. stocks into uncharted territory, with the S&P 500 clearing the 7,000 threshold. “These big round numbers can be difficult psychological tests for the market,” said Jeff Buchbinder, chief equity strategist at LPL Financial, noting that risk appetite stayed firm ahead of major events unfolding later in the day. 1
Seagate is aiming for third-quarter revenue around $2.90 billion, give or take $100 million, beating the $2.77 billion average estimate analysts had, per LSEG data. The company also forecast adjusted earnings per share at $3.40, plus or minus 20 cents, topping the $2.96 expected. This follows second-quarter results showing revenue of $2.83 billion and adjusted earnings of $3.11 a share. 2
In its earnings release, CEO Dave Mosley highlighted the quarter’s record profitability and pointed to the “ongoing ramp” of HAMR-based Mozaic products. HAMR—heat-assisted magnetic recording—is Seagate’s tech for cramming more data onto each drive, a crucial edge as cloud clients demand higher capacity. 3
Storage stocks tracked the move. Western Digital climbed roughly 10%, while Sandisk added about 8%. Both are set to release earnings after Thursday’s close. 4
UBS bumped up its price target to $385 but stuck with a Neutral rating. Analyst Timothy Arcuri flagged a “stretched valuation” despite applauding Seagate’s “strong execution” and better margins. 5
Interest rates remain the central focus. The Federal Reserve is widely expected to keep rates unchanged, with investors keenly analyzing both the statement and Chair Jerome Powell’s remarks for clues on future moves. Seema Shah of Principal Asset Management noted there’s “no urgency to lower rates aggressively.” 6
Seagate bulls now await Thursday’s storage earnings to see if tight supply and firm pricing will carry through into 2026. The real question: can today’s jump stick after the post-earnings volatility fades?
